The $20 Trillion Liquidity Problem Only XRP Can Fix

Poplar XRP advocate Vincent Van Code reignited one of the most fundamental conversations in crypto this week – the one about liquidity. In a detailed tweet, he broke down why global finance desperately needs a true bridge asset and why XRP may be the only project truly built for that role.

He started with a bold statement: “Everyone throws the word around, but few actually understand what it means – or why XRP exists.” That’s a fair point. Liquidity isn’t just money sitting in an account. It’s about how easily value can move – without friction, delay, or price impact. It’s the invisible fuel that keeps trade, banking, and payments running. And according to Van Code, the world’s financial plumbing is clogged.

He points to nostro-vostro accounts, the pre-funded banking systems where trillions of dollars sit idle just to facilitate cross-border payments. By some estimates, that’s over $20 trillion frozen – a huge amount of capital trapped in limbo, waiting to move but unable to. For Van Code, this inefficiency is the real obstacle to globalization.

Stablecoins, he argues, only patch part of the problem. They move money faster, yes, but only within single currencies like USD. They don’t provide the neutral, global layer that allows money to flow freely between nations. “They fix speed, not liquidity,” he wrote.

That’s where XRP comes in. Designed to be a bridge asset, it was built to move between any two currencies in seconds – USD → XRP → JPY, for instance – without the need for pre-funded accounts or intermediaries. It’s meant to make value move the way data does on the internet: instantly, securely, and without friction.

Van Code wrapped it all up neatly with a comparison that captures why many XRP supporters still hold conviction despite the market’s volatility: “Bitcoin stores value. Ethereum builds ecosystems. XRP moves value.”

It’s a compelling argument – and one that feels increasingly relevant as global payment networks strain under inefficiencies. XRP’s design may not have captured the retail hype of memecoins or DeFi tokens, but its purpose remains clear and distinct.

At the time of writing, XRP is trading around $2.40, moving in line with Bitcoin and other large-cap cryptos. No major pumps or corrections are defining its price right now – but conversations like this remind investors that XRP’s strength has always been about utility, not short-term hype.

If the world really is moving toward a future where value flows as freely as data, then Van Code’s thread might not just be theory – it could be a preview of what’s coming.

Read also: Evernorth Launches First-Ever Public XRP Treasury Company, Backed by Ripple

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Petar Jovanović
Petar Jovanović

As the Head of Content at Captainaltcoin, I bring years of experience in the crypto industry. With a strong belief in the potential of the web3 market since 2017, I'm passionate about sharing valuable insights and knowledge. Feel free to connect with me on LinkedIn and let's discuss the exciting world of cryptocurrencies and decentralized technologies!

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